Motorcycle accidents are often life-altering. Beyond the physical injuries and emotional trauma, the long-term financial impact can be devastating—especially when your ability to earn a living is affected. In Alberta, if you’ve been injured in a motorcycle accident due to someone else’s negligence, you may be entitled to compensation for loss of earning capacity. But what exactly does this mean? How is it calculated? And how can an experienced personal injury lawyer help?
This comprehensive guide will help you understand loss of earning capacity after a motorcycle accident in Alberta, and how Watchmaker Accident Lawyers in Edmonton, led by David Sowemimo, can support your claim every step of the way.
What Is Loss of Earning Capacity?
Loss of earning capacity refers to the diminished ability to earn income in the future due to injuries sustained in an accident. It’s different from lost wages, which are the actual income you missed out on while recovering. Loss of earning capacity is forward-looking—focused on how your future employment prospects and income potential are impacted by your injuries.
For example:
• A construction worker who suffers a spinal injury may no longer be able to lift heavy objects.
• A professional driver who suffers a traumatic brain injury may be unable to meet licensing requirements.
• A tradesperson who loses hand dexterity may no longer perform tasks requiring precision.
Even if you’re able to return to work in some capacity, if your injury reduces your efficiency, limits your job options, or forces you into lower-paying work, you may be eligible for compensation for that reduction in earning potential.
Legal Criteria for Assessing Loss of Earning Capacity in Alberta
Alberta courts consider several factors when determining if a loss of earning capacity exists:
1. Residual Earning Ability
The court evaluates whether you are still able to work in your previous occupation or switch to a different one. If you are forced into a lower-paying job or can only work part-time, that is a key indicator of diminished earning capacity.
2. Nature and Severity of the Injury
Injuries that are long-term or permanent have a greater impact on earning capacity. Medical expert reports, functional capacity evaluations, and vocational assessments are commonly used as evidence.
3. Age and Work History
Younger individuals with more years ahead in the workforce and a steady work history tend to receive higher awards for loss of earning capacity, especially if their career trajectory has been derailed.
4. Skills and Education
Your training and educational background are taken into account. If your injury prevents you from using the skills you’ve spent years developing, you may be entitled to compensation.
5. Labour Market Conditions
The court may consider whether your reduced abilities still allow you to compete in the job market. This includes examining local employment opportunities and employer expectations in your field.
Methods Used to Calculate Loss of Earning Capacity
Calculating damages for loss of earning capacity is complex and often requires expert input. Courts in Alberta generally rely on one of the following approaches:
The Capital Asset Approach
This method views earning capacity as a “capital asset” that has been impaired. The court estimates the present value of what your future earnings would have been if the accident had not occurred, and then subtracts your projected post-accident earnings.
Loss of Opportunity
In cases where the exact amount is difficult to quantify, courts may apply a percentage-based reduction based on the likelihood of diminished future earnings. For example, if the court believes there is a 50% chance your injury will affect your future earnings, it may award half the estimated value.
Use of Experts
Economic and vocational experts may be brought in to:
• Analyze your career trajectory pre- and post-accident.
• Calculate projected losses using real-world wage data.
• Provide assessments of job market viability given your restrictions.
Why You Need Legal Help to Prove Loss of Earning Capacity
Proving loss of earning capacity isn’t as straightforward as showing medical bills or pay stubs. It often involves:
• Long-term economic forecasts
• Medical and vocational evaluations
• Cross-examining opposing expert witnesses
• Demonstrating the causal link between the accident and your impaired ability to earn
Without legal expertise, you may significantly undervalue your claim—or fail to prove it altogether.
How Watchmaker Accident Lawyers in Edmonton Can Help
Led by David Sowemimo — A Trusted Personal Injury Lawyer in Edmonton
At Watchmaker Accident Lawyers, David Sowemimo brings years of experience handling complex personal injury claims, including those involving motorcycle accidents and long-term impairments. His legal team has the knowledge, tools, and dedication to pursue full compensation for your loss of earning capacity.
Comprehensive Case Assessment
The firm starts by conducting a thorough review of your medical records, work history, and financial documents. They consult with industry-leading experts to develop a solid foundation for your claim.
Proving the Impact on Your Career
Watchmaker Accident Lawyers build persuasive legal arguments that demonstrate how your injuries have permanently changed your work life. They may:
• Hire occupational therapists and economists
• Coordinate functional capacity evaluations
• Gather testimonies from former employers or coworkers
Negotiating with Insurance Companies
Insurers often undervalue claims for future income loss. David Sowemimo and his team are skilled negotiators who fight to ensure you’re not pressured into settling for less than you deserve.
Taking Your Case to Trial If Necessary
If settlement negotiations fail, Watchmaker Accident Lawyers are fully prepared to litigate your claim. Their courtroom experience means they can present your case clearly and powerfully before a judge or jury.
No Upfront Legal Fees
Most personal injury claims at Watchmaker Accident Lawyers are handled on a contingency basis—meaning you don’t pay legal fees unless you win compensation. This ensures access to justice for all accident victims.
Real-World Examples of Loss of Earning Capacity Claims
While each case is unique, here are examples of how Watchmaker Accident Lawyers can make a difference:
• A 29-year-old motorcycle mechanic unable to return to physical labour received a structured settlement based on future lost wages over the next 30 years.
• A self-employed courier injured in a collision was compensated for business loss, future loss of clientele, and diminished driving ability.
• A student injured before starting a high-paying trade career was awarded damages for the loss of opportunity to pursue that career path.
Final Thoughts
Loss of earning capacity is one of the most significant—and often overlooked—components of a personal injury claim following a motorcycle accident in Alberta. If your injuries have compromised your future ability to work, you deserve to be fully compensated—not just for your current losses, but for the economic opportunities you’ve lost.
Let Watchmaker Accident Lawyers in Edmonton, under the leadership of David Sowemimo, stand beside you. Their experience, compassion, and relentless pursuit of justice can make all the difference in securing the financial support you need for the future.
Contact Watchmaker Accident Lawyers Today
If you’ve suffered a motorcycle accident in Edmonton and are concerned about your earning capacity, don’t wait. Contact Watchmaker Accident Lawyers for a free consultation and take the first step toward reclaiming your financial security.
Your future deserves a strong advocate. David Sowemimo and his team are here to help you fight for it.
